No vat registered Sub contractors


got a quick one i have a number of non vat registered “Subbies”

When i log there purchase i obviously select no VAT but to i need to set them up as out of scope or exempt ?

I don’t think you need to mark as out of scope or exempt. If you’re VAT registered just create the purchase invoice with zero VAT. That way you won’t be claiming back any VAT but the total will still show in box 7 on your VAT return.

I’m not an accountant so would recommend you double check that.

Thanks for your help